KKR Buys Majority Stake In Hudson Yards Observation Deck For $500M
KKR just dropped a half-billion dollars on a property with a view.
The company paid Related Cos. and Oxford Property Group $509M for a 75% stake in The Edge, the observatory deck on the 100th floor of 30 Hudson Yards, overlooking Manhattan, PincusCo. Media reported.
The observation deck, which reaches over 1,000 feet and is the tallest in the Western Hemisphere, opened in March 2020 for two days before the city shut down to curb the spread of the coronavirus, The New York Times reported. Tickets to The Edge start at $36 per adult and $31 per child with special passes costing as much as $100 per person, Curbed reports.
Later this week, the Edge will get a new competitor on the East Side of the island: One Vanderbilt’s observatory deck, The Summit, is opening to the public and tickets will cost roughly the same amount, according to its website.
KKR bought two office condos in 30 Hudson Yards — including its headquarters, which was an anchor tenant for the building — in 2019, Commercial Observer reported. The building is valued at over $2.2B, The Real Deal reported.
So far, Hudson Yards appears to be worth the city’s investment. Over the past three years, Hudson Yards Infrastructure Corp. has added about $530M to city coffers through revenue and property taxes, Bloomberg reported this week.